KEPSA defends KPLC board amid mismanagement claims by electricity sector union

NAIROBI, Kenya, Sept 17 – Kenya Private Sector Alliance (KEPSA) has defended the Kenya Power Lightning corporation (KPLC) board amid claims by the electricity workers union, Kenya Electrical Trades and Allied Workers Union (KETAWU)  that it has failed to deliver and has overseen the rot at the institution.

In a statement, the private alliance body says that while the KPLC suffers from financial turmoil, mismanagement, and poor governance, the board should be given more time to reform.

“The Kenya Power Board of Directors has been in office for a little over one year. It found the rot already widespread. We have also observed a keen sense of urgency in the Board about dealing with the challenges. It is critical that we give this Board the time to deliver on its turnaround strategy,” KEPSA said.

The electricity workers union had on Tuesday blamed the board for failing to support its employees and frustrating all internally generated ideas in favor of non-actors in the sector.

The private sector lobby, however, notes that the rot at KPLC started long ago noting that the failings have seen the cost of power has since grown by over 70 percent over the last decade,”

“We must bring this rot to a halt. Immediately. This means restoring order, efficiency, accountability, governance and a sense of
purpose and mission to Kenya Power. This task requires a Board that is clear about the strategic imperative of stopping and then decisively turning around Kenya Power’s decline. This is no easy undertaking, and any Board embarking on it must expect ferocious opposition from those who stand to lose from such decisive action,” it said.

The turnaround strategy for the electricity firm, KEMSA says involves a debt restructuring program, substantial reduction of energy system losses, enhancing customer experience, and prioritizing employee performance.

“The institution of a debt restructuring program would give Kenya Power essential financial breathing room to enable it to undertake essential capital investments and operational efficiencies. A substantial reduction of energy system losses will improve Kenya Power’s commercial performance through technology solutions and optimal business processes,” KEPSA added.

As part of its concerns, KETAWU noted that the board offers direct supervision of procurement and warehousing processes with the intent to award them to specific people.

“The board has also failed to facilitate the provision of critical fast-moving materials including meters thus rendering management impotent and frustrated in the face of the public, hence the current probe by EACC is timely and supported by the Union and workers alike,” the union’s Secretary-General Ernest Nadome said.